Warning - Saga auto-renew problem on insurance - Check yours!

somewhereoutthere

Hi All

Just wanted to warn everyone about an issue with the Saga system about auto-renewing of insurance policies.

We had a car insurance with Saga and got a letter stating that the policy would auto-renew. I did the usual checks to compare insurance. Price was ok and we had a lot going on so I decided to let the auto-renew go ahead.

6 weeks later I checked my statement and realised the money for the insurance hadn't been taken. So I looked at my Saga account online to find that the policy had expired. No notification about this as I've had before with other companies.

I contacted Saga. After they investigated, they told me that the system was set up to auto-renew but the system just hadn't completed the auto-renew. Apparently it's not a system wide issue but happens randomly. Their IT department is investigating.

I got the impression that they would sort it out if people contacted them. I told them they should be identifying people and contacting them. From the letter I got from them, I'm not sure they are going to do that.

Ours was a car insurance so I don't know if it applies to other types of insurance, but I'd advise, that if you have an insurance with SAGA, check your policies are auto-renewing otherwise you could have problems!

Technically we were not insured during that time (through no fault of ours). We were lucky and didn't have any reason to claim in that time or we could have had alsorts of problems.

flaneurs_lobster

Technically we were not insured during that time (through no fault of ours). We were lucky and didn't have any reason to claim in that time or we could have had alsorts of problems.

At the very least, I hope Saga are only charging you from the point where you DO have coverage?

Agree with you, Saga should be being proactive in identifying those policies that have not auto-renewed despite the request being active. Six weeks is a ridiculous amount of time for this issue to be outstanding.

UnsureAboutthis

This is a lesson for ALL

Always check the auto-renwe as you could lack funds in your bank or like OP, glitch along the line.

I always enaure my money has been taken, never auto-renew—often possible; always insist on paper/hard copy ins docs as well for ALL insurance policies—double-check money has gone through and as important, ensure I got docs.

IMPORTANT - Ensure your details and car reg etc is correct on docs as well as dates.

The responsibility is yours!! Even when an ins co sends out reminders, etc., they can get lost in the post,.

If you are stopped/accident etc, the bottom line you are not insured, so double check the building insurance, etc.

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/6666775/warning-saga-auto-renew-problem-on-insurance-check-yours

If they were a direct insurer it would make little practical difference, systems arent perfect and occasionally mistakes happen. In my consumer insurance days knew multiple cases where we had to write a letter confirming that we would have honoured a claim had one happened due to the non-renewal being our fault… its one of the few acceptable defences for driving without insurance.

Saga tends to act as a broker for its motor product these days, less clear what they'd be able to do in the circumstances had you been caught for driving without insurance but their mandatory PI insurance would have covered any claim against them.

It is a valid point to see what they are going to do about the start date of the new policy, if they back date it on the basis that cover would have been provided or if they set it to start from today giving you a bit of extra cover for your monies.

TELLIT01

You weren't 'technically uninsured' you were legally and absolutely uninsured. Had you been stopped the police wouldn't have said it was a technicality.

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/comment/81987460#Comment_81987460

However they wouldnt be prosecuted or get points if the insurer puts their hands up and says that they should have been insured, its the insurers fault and they will cover any claims that arise during the period.

Sometimes happens because an agent mishears a registration plate, sometimes new code creates unintended consequences, sometimes a bug exists that only triggers in very peculiar situations. For example a prior client had a coding error where there was a mismatch in how leap years were dealt with which resulted in a modest number of customers being uninsured for one day when their old policy lapsed on the 28 feb but their new policy didnt start until the 1st March but being a leap year gave them a 1 day gap on the 29 Feb